Wednesday, March 23, 2011
Elevator Update
It is obvious from the picture below that the new elevator at the Lowell Superior Courthouse, home of the Middlesex North Registry of Deeds, is close to completion. Brick work is moving along quickly inside a heated plastic enclosure on the outside of the shaft and the attractive new interior molding matches this historic building perfectly.
Tuesday, March 22, 2011
Statistics for March 1 -21
With the real estate market sending mixed messages about its direction, I've taken to viewing the recording statistics each week. Here they are for the first three weeks in March of 2011 compared to the same period in 2010:
The number of deeds recorded was up 7%, from 218 to 234
The number of mortgages recorded was up 14%, from 495 to 565
Orders of Notice were down430%, from 74 to 47
Foreclosure Deeds were down 30%, from 33 to 23
The number of deeds recorded was up 7%, from 218 to 234
The number of mortgages recorded was up 14%, from 495 to 565
Orders of Notice were down430%, from 74 to 47
Foreclosure Deeds were down 30%, from 33 to 23
Monday, March 21, 2011
Twitter Turns Five Years Old
Happy Birthday Twitter!
This is a great video, be sure to play it...especially if you're a Beatles fan.
Yes, amazingly its been five years since Twitter co-founder Jack Dorsey sent the world its first tweet "just setting up my twttr". Since that time the micro-blogging site has exploded and I mean exploded.
Since March 21, 2006 literally billions of Tweets have been sent. In fact...today experts estimate that close to one billion are sent every week. These staggering numbers have increased Twitter's value significantly. In 2008 Facebook offered to purchase Twitter for $500 million. Today the company's estimated worth is between $8-10 billion.
Mistakenly, some see Twitter as a forum where people post what they ate for breakfast. But, recently, Twitter's role in reporting events during times of political unrest and natural disasters has lifted its status. During its recent elections the Iranian government banned media coverage...Twitter remained one of the only sources of information coming out of the country. Twitter became so important during this time "its role even resulted in calls among some in the Bush administration for Twitter to be nominated for a Nobel Peace Prize" (BBC News).
There is no doubt in my mind that Twitter will be around in five years to celebrate it 10th birthday and maybe even its 25th there-after.
Friday, March 18, 2011
Scrutinizing portions of the new Homestead Law
Interest in the new homestead law continues at peak levels and we're still trying to decipher the meaning of many of the statute's section. Below we share our thoughts on the definition of "Declared homestead exemption" found in Section 1 of the new law. Our comments are in italics:
“Declared homestead exemption”, an exemption in the amount of $500,000 created by a written declaration, executed and recorded pursuant to section 5 (the section of the law that contains the mechanics of filling out the form); provided, however, that:
(1) with respect to a home owned by joint tenants or tenants by the entirety who are benefited by an estate of homestead declared pursuant to section 3 (regular homestead), the declared homestead exemption shall remain whole and unallocated, provided that the owners together shall not be entitled to a declared homestead exemption in excess of $500,000; (joint tenants and tenants by the entirety own “an undivided interest” in the property. That means each co-tenant owns the entire property subject only to the other co-tenant’s like interest. The “whole and unallocated” language means that each co-tenant has access to the full $500,000 exemption, but that’s also the total amount they can claim cumulatively).
(2) if a home is owned by tenants in common or trust beneficiaries, the declared homestead exemption for each co-tenant and trust beneficiary who benefits by an estate of homestead declared pursuant to said section 3 (regular homestead) shall be the product of: (i) $500,000; and (ii) the co-tenant’s or trust beneficiary’s percentage ownership interest; (Tenants in common and trust beneficiaries each own a percentage share of the property. For them, the maximum homestead exemption they may claim is their ownership percentage times the full exemption. If two tenants in common each own a 50% interest, the largest homestead exemption either could claim would be $250,000).
(3) except as provided in clause (4)(which is the following paragraph), each person who owns a home and who is benefited by an estate of homestead declared pursuant to section 2 (the elderly homestead) shall be entitled to the declared homestead exemption without reduction, proration or allocation among other owners of the home; and (meaning that every co-owner who declares an elderly homestead gets the full $500,000 exemption, regardless of how many other co-owners there are).
(4) separate estates of homestead may be declared pursuant to sections 2 and 3 on the same home (co-owners may file homesteads separately; they need not use the same form. Registered Land, however, may have different requirements), and in such event:
(5) (i) if the home is owned by tenants in common or trust beneficiaries, the declared homestead exemption for each co-tenant and trust beneficiary who benefits by an estate of homestead declared pursuant to section 3 (regular homestead) shall be calculated in the manner provided in clause (2)(co-owners allocate the $500,000 exemption amongst themselves based on their ownership percentage in the property), and the declared homestead exemption for each co-tenant and trust beneficiary who benefits by an estate of homestead declared pursuant to section 2 (elderly homestead) shall be calculated in the manner provided in clause (3); or (meaning that every co-owner who declares an elderly homestead gets the full $500,000 exemption, regardless of how many other co-owners there are).
(ii) if the home is owned by joint tenants or tenants by the entirety, the declared homestead exemption for the owners together shall be the sum of $500,000 multiplied by the number of declarations recorded pursuant to section 2 (elderly homestead), plus $250,000; (not sure where this comes from – perhaps the automatic $125,000 exemption doubled?)provided, however, that the homestead exemption under this subclause shall remain whole and unallocated among the owners; and provided further, that no owner who declares a homestead, acting individually, shall be entitled to claim an exemption of more than $500,000; and (what about joint tenants and tenants in common who claim an individual homestead exemption under the regular homestead? The calculation of this paragraph - $500,000 times the number of elderly homesteads – would yield zero if no elderly homesteads were involved. I’m not sure that’s the meaning or the intent, but that’s how I read it right now).
(6) the calculation of the amount of homestead exemption available to an owner shall not sever a joint tenancy or tenancy by the entirety.
As you can see from the above discussion, this single definition paragraph yields numerous questions that have no clear answers. Any opinions from our readers would be most welcome.
“Declared homestead exemption”, an exemption in the amount of $500,000 created by a written declaration, executed and recorded pursuant to section 5 (the section of the law that contains the mechanics of filling out the form); provided, however, that:
(1) with respect to a home owned by joint tenants or tenants by the entirety who are benefited by an estate of homestead declared pursuant to section 3 (regular homestead), the declared homestead exemption shall remain whole and unallocated, provided that the owners together shall not be entitled to a declared homestead exemption in excess of $500,000; (joint tenants and tenants by the entirety own “an undivided interest” in the property. That means each co-tenant owns the entire property subject only to the other co-tenant’s like interest. The “whole and unallocated” language means that each co-tenant has access to the full $500,000 exemption, but that’s also the total amount they can claim cumulatively).
(2) if a home is owned by tenants in common or trust beneficiaries, the declared homestead exemption for each co-tenant and trust beneficiary who benefits by an estate of homestead declared pursuant to said section 3 (regular homestead) shall be the product of: (i) $500,000; and (ii) the co-tenant’s or trust beneficiary’s percentage ownership interest; (Tenants in common and trust beneficiaries each own a percentage share of the property. For them, the maximum homestead exemption they may claim is their ownership percentage times the full exemption. If two tenants in common each own a 50% interest, the largest homestead exemption either could claim would be $250,000).
(3) except as provided in clause (4)(which is the following paragraph), each person who owns a home and who is benefited by an estate of homestead declared pursuant to section 2 (the elderly homestead) shall be entitled to the declared homestead exemption without reduction, proration or allocation among other owners of the home; and (meaning that every co-owner who declares an elderly homestead gets the full $500,000 exemption, regardless of how many other co-owners there are).
(4) separate estates of homestead may be declared pursuant to sections 2 and 3 on the same home (co-owners may file homesteads separately; they need not use the same form. Registered Land, however, may have different requirements), and in such event:
(5) (i) if the home is owned by tenants in common or trust beneficiaries, the declared homestead exemption for each co-tenant and trust beneficiary who benefits by an estate of homestead declared pursuant to section 3 (regular homestead) shall be calculated in the manner provided in clause (2)(co-owners allocate the $500,000 exemption amongst themselves based on their ownership percentage in the property), and the declared homestead exemption for each co-tenant and trust beneficiary who benefits by an estate of homestead declared pursuant to section 2 (elderly homestead) shall be calculated in the manner provided in clause (3); or (meaning that every co-owner who declares an elderly homestead gets the full $500,000 exemption, regardless of how many other co-owners there are).
(ii) if the home is owned by joint tenants or tenants by the entirety, the declared homestead exemption for the owners together shall be the sum of $500,000 multiplied by the number of declarations recorded pursuant to section 2 (elderly homestead), plus $250,000; (not sure where this comes from – perhaps the automatic $125,000 exemption doubled?)provided, however, that the homestead exemption under this subclause shall remain whole and unallocated among the owners; and provided further, that no owner who declares a homestead, acting individually, shall be entitled to claim an exemption of more than $500,000; and (what about joint tenants and tenants in common who claim an individual homestead exemption under the regular homestead? The calculation of this paragraph - $500,000 times the number of elderly homesteads – would yield zero if no elderly homesteads were involved. I’m not sure that’s the meaning or the intent, but that’s how I read it right now).
(6) the calculation of the amount of homestead exemption available to an owner shall not sever a joint tenancy or tenancy by the entirety.
As you can see from the above discussion, this single definition paragraph yields numerous questions that have no clear answers. Any opinions from our readers would be most welcome.
Thursday, March 17, 2011
Evacution Day
We'll take a break from our Homestead-related posts with a bit of history today:
March 17th is Evacuation Day which commemorates the evacuation of Boston by the British Army in March of 1776 during the early phases of the American Revolution. The initial battle of that war happened almost a year earlier, on April 19, 1775 in Lexington and Concord. After that, the colonial militia mobilized and ringed Boston, the garrison town the British inhabited. On June 17, 1775, the two forces fought a costly engagement that became known as the Battle of Bunker Hill. That was followed by a stalemate around Boston that persisted through the winter of 1775-76. During that same winter, Henry Knox, a 25 year-old Boston book seller who read a lot of books on artillery, volunteered to retrieve 50 cannon from Fort Ticonderoga, a British fortress that had been captured early in the war. Knox's expedition dragged the cannon all the way from Ticonderoga (on the western shore of Lake Champlain) to Boston where the colonial militia secretly emplaced the guns on Dorchester Heights. When the British awoke, they found that the colonial artillery made Boston indefensible, so they boarded their ships and sailed to Nova Scotia, never to return.
It was in 1901 that the city of Boston made Evacuation Day an official holiday. While the exact date the British withdrew in 1776 was in the month of March, it wasn't the 17th. For other reasons, the Boston city administration of that time chose March 17th as the holiday. For a full account of that, check out the Mass Moments website.
March 17th is Evacuation Day which commemorates the evacuation of Boston by the British Army in March of 1776 during the early phases of the American Revolution. The initial battle of that war happened almost a year earlier, on April 19, 1775 in Lexington and Concord. After that, the colonial militia mobilized and ringed Boston, the garrison town the British inhabited. On June 17, 1775, the two forces fought a costly engagement that became known as the Battle of Bunker Hill. That was followed by a stalemate around Boston that persisted through the winter of 1775-76. During that same winter, Henry Knox, a 25 year-old Boston book seller who read a lot of books on artillery, volunteered to retrieve 50 cannon from Fort Ticonderoga, a British fortress that had been captured early in the war. Knox's expedition dragged the cannon all the way from Ticonderoga (on the western shore of Lake Champlain) to Boston where the colonial militia secretly emplaced the guns on Dorchester Heights. When the British awoke, they found that the colonial artillery made Boston indefensible, so they boarded their ships and sailed to Nova Scotia, never to return.
It was in 1901 that the city of Boston made Evacuation Day an official holiday. While the exact date the British withdrew in 1776 was in the month of March, it wasn't the 17th. For other reasons, the Boston city administration of that time chose March 17th as the holiday. For a full account of that, check out the Mass Moments website.
Wednesday, March 16, 2011
Questions about new homestead
Early in my law school career, a professor declared "law school is just a course in advanced reading." The same might be said about the new homestead law. Many questions have arisen. Upon reflection, most of them are answered by the statute if one reads it closely enough. But that takes some time and reflection. In the meantime, here's a sampling of the questions that have been posed so far today, the first day of the new statute:
When spouses come in together and one is over 62 and the other is not, should they execute a single form or file separately? What should they do when the younger spouse reaches age 62?
A spouse comes in alone, but the deed that establishes title to the property shows that it is owned by “husband and wife as tenants by the entirety,” should a homestead signed only by the spouse who is present be recorded or should it be rejected pending second spouse’s signature?
One spouse already has an elderly homestead on record. The other spouse has just reached age 62 and comes in to file a new homestead. May the younger spouse file alone or do both have to file the new form
Are there any additional requirements for Registered Land? Guidance from the Land Court is expected imminently although we do understand that a Registered Land Declaration of Homestead that’s placed on a Nominee Trust must be accompanied by the Trustee’s Certificate.
If co-owners are declaring a homestead using a single form that both have signed but only one of their signatures is acknowledged, may the homestead be recorded? Section 5(a) says “each owner to be benefited by the homestead” must “sign and acknowledge” but a deed or mortgage by co-owners that’s signed by both that has only one signature acknowledged is recordable.
When spouses come in together and one is over 62 and the other is not, should they execute a single form or file separately? What should they do when the younger spouse reaches age 62?
A spouse comes in alone, but the deed that establishes title to the property shows that it is owned by “husband and wife as tenants by the entirety,” should a homestead signed only by the spouse who is present be recorded or should it be rejected pending second spouse’s signature?
One spouse already has an elderly homestead on record. The other spouse has just reached age 62 and comes in to file a new homestead. May the younger spouse file alone or do both have to file the new form
Are there any additional requirements for Registered Land? Guidance from the Land Court is expected imminently although we do understand that a Registered Land Declaration of Homestead that’s placed on a Nominee Trust must be accompanied by the Trustee’s Certificate.
If co-owners are declaring a homestead using a single form that both have signed but only one of their signatures is acknowledged, may the homestead be recorded? Section 5(a) says “each owner to be benefited by the homestead” must “sign and acknowledge” but a deed or mortgage by co-owners that’s signed by both that has only one signature acknowledged is recordable.
Tuesday, March 15, 2011
New Homestead Law takes effect tomorrow
The long-awaited major revision to Massachusetts General Law chapter 188 (Declaration of Homestead) takes effect tomorrow. We've posted the full version of the new law on our website. In seeking to clarify many of the ambiguities of the old law, the new statute is quite extensive and takes several readings to begin to fully digest. The Secretary of State has posted a Question and Answer pamphlet on his website and I plan to post a concise fact sheet on the new law to the lowelldeeds site in the coming days.
In the meantime, new forms (there are two: one for property owned by individuals and another for property owned by a trust) are available on the Secretary of State's website in PDF version that can be completed on your computer and then printed. Here at the Middlesex North Registry of Deeds, most of our Homestead customers just walk in and complete the form here, so we have slimmed down versions of the regular homestead and the trust homestead here at the registry and on our website.
In the meantime, new forms (there are two: one for property owned by individuals and another for property owned by a trust) are available on the Secretary of State's website in PDF version that can be completed on your computer and then printed. Here at the Middlesex North Registry of Deeds, most of our Homestead customers just walk in and complete the form here, so we have slimmed down versions of the regular homestead and the trust homestead here at the registry and on our website.
Monday, March 14, 2011
New Homestead Law begins this Wednesday
A story in today's Globe reminds us that the new Declaration of Homestead Law enacted by the state legislature last fall takes effect this coming Wednesday, March 16, 2011. The full text of the new law is available HERE and I've previously written about it HERE and HERE.
We'll be posting additional information about the new Homestead and a revised Homestead form on the lowelldeeds website by Wednesday, so please check back for the latest news on this topic.
We'll be posting additional information about the new Homestead and a revised Homestead form on the lowelldeeds website by Wednesday, so please check back for the latest news on this topic.
Friday, March 11, 2011
End suburban subsidies
In an Op-ed in Thursday's Globe, Harvard economist Ed Glaeser argues that the time has come to end public subsidies of suburban single family homes. Glaeser points to the home mortgage interest deduction and policies of Freddie Mac and Fannie Mae as being not only injurious to urban dwellers, but two central elements in transforming our country into a "foreclosure society" and not an ownership society.
Thursday, March 10, 2011
Buyer expectations create impediment to home sales
An article by Kenneth Harney of the Washington Post News Service in the March 7, 2011 edition of Banker and Tradesman (not available free online) suggests that rising expectations of home buyers are condemning many potential home sales to failure. Anecdotally, brokers tell of buyers expecting the amenities of a $500,000 house in one selling for less than $200,000 including things such as granite countertops and stainless steel appliances. The author attributes these changing expectations to a couple of things. One is that down payment requirements have risen substantially ("the median down payment . . . has jumped to 20 percent compared to 'close to zero' five years ago"). With people stretching just to make the down payment, they have little money available for after-purchase renovations or fix-ups. The second factor is cultural. With the rising popularity of cable TV programs such as Home and Garden TV, more people have set their expectations of features in a home based on television programs rather than real life. Whatever the cause, if this perception is true it's too bad, because the last thing needed in this depressed market is more reasons for people not to purchase homes.
Wednesday, March 09, 2011
Techie Action Dolls...R U Kidding?
Honest...the world never ceases to amaze me. I couldn't make this stuff up!
Me: This morning I read an article in the New York Times about a company called M.I.C. Gadgets that is manufacturing actions dolls for sale.
Him: Yeah, so whats the big deal? Action dolls have been around for years, Captain America, GI Joe, the Ninja Turtles...
Me: Yeah, but all those figures represented characters with super-powers.
Him: Your Point?
Me: M.I.C. Gadgets is venturing into a new area of action figures...an area where the characters do not have super-powers
Him: I'm almost afraid to ask...OK go ahead, what area?
Me: The technology area.
Him: Are you kidding? M.I.C. is making action dolls that look like techie people? Like whom?
Me: How about Steve Jobs for one. M.I.C. Gadgets is making an action doll that looks like the Apple CEO.
Him: Oh, I get it. I can just hear M.I.C.'s advertisement for the Steve Jobs doll..."Look up in the sky of Cupertino...its a nerd..its a brain...No its AppleMan. Faster that a Pentium Four processor, more powerful than a Power Mac G5, able to hawk products at a hyped event. Who disguised as Steve Jobs, mild mannered CEO for a major Silicon Valley computer company fights the unending battle against Microsoft Windows and for the American way".
Me: Well, I don't know if it will be exactly like that...but.
Him: Tell me, what other action techie dolls are they making?
Me: M.I.C. Gadgets is also producing a Mark Zukerberg action doll.
Him: What?! You mean the guy who invented Facebook and was in that movie getting sued?
Oh I can hear that Ad too...Dr Mark Zukerberg a techie geek. Searching for a way to tap into the social desires that all humans have. Then an accidental overdose of friending others alters his body chemistry. And now when Mark Zuckerberg grows angry or is unfriended a startling metamorphosis occurs. The creature becomes driven by money and is pursued by an army of lawyers.
Me: Well, that might be a little much...but.
Him: Hey, is MIC going to do a Steve Gates action doll? I can hear...
Me: Why don't we forget that for now.
Me: This morning I read an article in the New York Times about a company called M.I.C. Gadgets that is manufacturing actions dolls for sale.
Him: Yeah, so whats the big deal? Action dolls have been around for years, Captain America, GI Joe, the Ninja Turtles...
Me: Yeah, but all those figures represented characters with super-powers.
Him: Your Point?
Me: M.I.C. Gadgets is venturing into a new area of action figures...an area where the characters do not have super-powers
Him: I'm almost afraid to ask...OK go ahead, what area?
Me: The technology area.
Him: Are you kidding? M.I.C. is making action dolls that look like techie people? Like whom?
Me: How about Steve Jobs for one. M.I.C. Gadgets is making an action doll that looks like the Apple CEO.
Him: Oh, I get it. I can just hear M.I.C.'s advertisement for the Steve Jobs doll..."Look up in the sky of Cupertino...its a nerd..its a brain...No its AppleMan. Faster that a Pentium Four processor, more powerful than a Power Mac G5, able to hawk products at a hyped event. Who disguised as Steve Jobs, mild mannered CEO for a major Silicon Valley computer company fights the unending battle against Microsoft Windows and for the American way".
Me: Well, I don't know if it will be exactly like that...but.
Him: Tell me, what other action techie dolls are they making?
Me: M.I.C. Gadgets is also producing a Mark Zukerberg action doll.
Him: What?! You mean the guy who invented Facebook and was in that movie getting sued?
Oh I can hear that Ad too...Dr Mark Zukerberg a techie geek. Searching for a way to tap into the social desires that all humans have. Then an accidental overdose of friending others alters his body chemistry. And now when Mark Zuckerberg grows angry or is unfriended a startling metamorphosis occurs. The creature becomes driven by money and is pursued by an army of lawyers.
Me: Well, that might be a little much...but.
Him: Hey, is MIC going to do a Steve Gates action doll? I can hear...
Me: Why don't we forget that for now.
Tuesday, March 08, 2011
Lowell Sun editorial of future of Superior Courthouse
Yesterday's Lowell Sun had an editorial urging the state's Division of Capital Asset Management to get an early start on finding a new use for the Middlesex Superior Courthouse in Lowell which is the current home of the Registry of Deeds. The state expects to break ground for the new Judicial Center in the summer of 2012 with the building taking 30 months to complete. That would mean the Superior Court operations would be ready to move in early 2015. Presumably the registry of deeds would also vacate this building at the same time. Since we have digitized all of our records, the amount of space needed for the registry is relatively modest as are the requirements of such a space. The big question will then be what to do with the vacant courthouse? The fear of many is that it will remain vacant and slowly deteriorate which is why it is important to begin and continue the conversation about it's reuse. If people are thinking and talking about the building, it increases the odds that someone will find a new use for it.
Monday, March 07, 2011
Techie Shorts
The technology world always fascinates...here are a few of the big stories of last week:
This has to be a first...a book publisher named OR Books is collecting raw tweets posted during the recent revolution in Egypt. OR Books is compiling these 140 character nuggets of information into a book titled...Tweets from Tahrir. What an interesting idea...I'll bet this is not the last time this is done.
A few weeks ago it was revealed that several retailers beat the google algorithm. These companies found a way to make themselves the top results of millions of google searches by fooling the search giant's system. When google discovered the problem they threaten to pull the retailers from all queries. Last week google announced it was changing its algorithm to prevent future manipulation.
With the release of the iPad Two this Friday the war for tablet supremacy is heating up. Right now the three big in the market are the Xoom, iPad and Galaxy. The public is rating these tablets by size, weight, speed, resolution and of course price. Apple is controlling close to 90% of the tablet market right now...the competition needs to price slash if it wants to make a run at Apple.
The space shuttle Discovery is finishing up its last mission and will arrive back on earth, Wednesday. In 27 years Discovery has traveled 39 missions and covered 150 million miles in 365 days...truly an amazing feat, especially considering most of the coffee makers I buy only last a year.
Friday, March 04, 2011
Judicial Center Construction to begin this summer
The Lowell Sun reports today that work will commence on the city's new Judicial Center this summer. Expected to cost $175 million dollars and take 30 months to construct at the end of Jackson Street, the new facility will house all court operations in Lowell including Superior, District, Juvenile, Housing and Probate. The article also reports that the city's state house delegation is arranging a meeting in the coming days with the Department of Capital Asset Management (DCAM), the state agency responsible for all state buildings, to discuss the future use of the current Superior and District Courthouses.
Thursday, March 03, 2011
Finding the appropriate penalty for problematic lenders
Today's New York Times reports that federal regulators are having trouble reaching an agreement on the size and ultimate use of fines that will be imposed on lenders that short-cut foreclosure procedures. While the banks seem amenable to negotiating a dollar amount for this fine - $20 billion is the number now being floated - there is a dispute about how that money is to be used. This article claims that some want to use the funds to assist homeowners who are underwater on their mortgages in an effort to catapult the housing market into better times. Those who disagree with this strategy contend that bailing out people who might otherwise be able to stay current on their loans would provide a negative incentive - people might be less likely to keep paying in the hopes of obtaining a bailout.
How to aid the revival of the housing market is a very important issue. Right now in America, there are 2 million homes in foreclosure and another 2 million homeowners who are behind in their payments. Fully one-fifth of all home loans exceed the value of the homes. While there has been a significant decrease in the number of foreclosures initiated in the past five months, some suspect that's only caused by banks deferring foreclosures because of a variety of legal difficulties. The best remedy for this problem would be a reasonable increase in the price of housing which depends on the continuation of low interest rates and the continued growth of the economy.
How to aid the revival of the housing market is a very important issue. Right now in America, there are 2 million homes in foreclosure and another 2 million homeowners who are behind in their payments. Fully one-fifth of all home loans exceed the value of the homes. While there has been a significant decrease in the number of foreclosures initiated in the past five months, some suspect that's only caused by banks deferring foreclosures because of a variety of legal difficulties. The best remedy for this problem would be a reasonable increase in the price of housing which depends on the continuation of low interest rates and the continued growth of the economy.
Wednesday, March 02, 2011
iPad Two Unveiled Today
Excited!
You bet I'm excited.
Apple unveils the iPad Two today and the anticipation is incredible (at least for me anyway).
In a sneak preview CNN did this great piece on the iPad/iPad Two and its place in the technology world.
You bet I'm excited.
Apple unveils the iPad Two today and the anticipation is incredible (at least for me anyway).
In a sneak preview CNN did this great piece on the iPad/iPad Two and its place in the technology world.
Tuesday, March 01, 2011
February statistics
As we do at the end of each month, here's a snapshot of recording statistics (entire registry district) for certain key documents for February 2011 compared to February 2010:
The number of deeds recorded was down 15%, from 337 in Feb 2010 to 288 in Feb 2011.
Mortgages were up 9%, from 713 in Feb 2010 to 774 in Feb 2011.
Foreclosure Deeds were down 49%, from 45 in Feb 2010 to 23 in Feb 2011.
Orders of Notice were down 62%, from 141 in Feb 2010 to 53 in Feb 2011.
The number of deeds recorded was down 15%, from 337 in Feb 2010 to 288 in Feb 2011.
Mortgages were up 9%, from 713 in Feb 2010 to 774 in Feb 2011.
Foreclosure Deeds were down 49%, from 45 in Feb 2010 to 23 in Feb 2011.
Orders of Notice were down 62%, from 141 in Feb 2010 to 53 in Feb 2011.
Academy Awards thank Lowell
At Sunday night's Academy Awards, Christian Bale won the Oscar for Best Supporting Actor for his portrayal of Lowell boxer Dickie Eklund. The Fighter short right here in Lowell, home of the Middlesex North Registry of Deeds also garnered an award for Melissa Leo for Best Supporting Actress.
This is a special movie for those of us at the registry of deeds...on August 10 and 11, 2009 the cast spent two days filming at our work place, the Lowell Superior Courthouse.
Below is Christian Bales' heartfelt acceptance speech in which he thanks the City of Lowell at the Academy Awards...
This is a special movie for those of us at the registry of deeds...on August 10 and 11, 2009 the cast spent two days filming at our work place, the Lowell Superior Courthouse.
Below is Christian Bales' heartfelt acceptance speech in which he thanks the City of Lowell at the Academy Awards...
Friday, February 25, 2011
Reasons for optimism in real estate
Today's Lowell Sun has a front-page article about the direction of real estate. Several people interviewed (including me) see signs of a recovery while others were more pessimistic. My optimism is based on two trends I have watched since October: the number of mortgages being recorded is up from a year ago and the number of foreclosure-related documents is down. I see both of these as leading indicators of a real estate bounce-back.
Taken as a whole, 2010 was a pretty dismal year, seemingly much worse than 2009. But if you just look at the Fourth Quarters of the two years, 2010 was much better. To get the most up-to-date numbers, I compared the number of mortgages, foreclosure deeds and orders of notice recorded in the Middlesex North District from October 1, 2010 to February 24, 2011 (yesterday) with those recorded in the same period a year ago. Here's what I found:
Mortgage recordings were up 38% (6536 v 4744)
Foreclosure deeds were down 50% (218 v 109)
Orders of Notice were down 57% (602 v 246)
The significance of the drop in foreclosures is self-evident, but mortgages are important because in 2003, a dramatic rise in mortgage recordings signaled the beginning of the real estate boom. While we don't want to revert to the chaos of that period, we would welcome a rebound in home prices, something that very well might follow behind this uptick in mortgages.
Taken as a whole, 2010 was a pretty dismal year, seemingly much worse than 2009. But if you just look at the Fourth Quarters of the two years, 2010 was much better. To get the most up-to-date numbers, I compared the number of mortgages, foreclosure deeds and orders of notice recorded in the Middlesex North District from October 1, 2010 to February 24, 2011 (yesterday) with those recorded in the same period a year ago. Here's what I found:
Mortgage recordings were up 38% (6536 v 4744)
Foreclosure deeds were down 50% (218 v 109)
Orders of Notice were down 57% (602 v 246)
The significance of the drop in foreclosures is self-evident, but mortgages are important because in 2003, a dramatic rise in mortgage recordings signaled the beginning of the real estate boom. While we don't want to revert to the chaos of that period, we would welcome a rebound in home prices, something that very well might follow behind this uptick in mortgages.
Thursday, February 24, 2011
National Home Sales up slightly
Yesterday's New York Times reported that national home sales were up slightly from December, and that one-third of the sales were of foreclosed properties and that one-third were cash only deals (which is indicative of investors being active). Here in the Middlesex North District, the number of deeds recorded in January 2011 was up 13% from the number from January 2010 (384 v 339) while the median amount of consideration stated on those deeds was up 16%, from $217,900 to $252,250.
Wednesday, February 23, 2011
Apple Introducing iPad 2 on March 2
On March 2 Apple will introduce the "iPad 2" to the world. Interestingly enough, some techie sites are jokingly calling the new device the "iPad too". LOL, I guess.
But here is the serious question...Is there really any major difference between the first iPad and iPad 2(or too)?
Reports say yes...
To begin with iPad 2 is lighter and more powerful and has a front-facing camera. The front-facing camera is used for video calling or what Apple calls face-time (I never use face-time. It makes my head look too big).
Apple will unveil the new iPad in San Francisco at an invitation only event. And, yes the invitations are in the mail (no, I haven't got one yet).
Here is what the cover of the invite looks like. I love it. It is so appleish...
But here is the serious question...Is there really any major difference between the first iPad and iPad 2(or too)?
Reports say yes...
To begin with iPad 2 is lighter and more powerful and has a front-facing camera. The front-facing camera is used for video calling or what Apple calls face-time (I never use face-time. It makes my head look too big).
Apple will unveil the new iPad in San Francisco at an invitation only event. And, yes the invitations are in the mail (no, I haven't got one yet).
Here is what the cover of the invite looks like. I love it. It is so appleish...
Tuesday, February 22, 2011
Obama Dines with the Tech World
Last Thursday President Obama met with some really big, big-wigs in the technology industry...I am talking game changers. Here is list of some of guests:
Apple's Steve Jobs
Facebook founder Mark Zuckerberg
Oracle CEO Larry Ellison
Google honcho Eric Schmidt.
Carol Bartz, president and chief executive officer, Yahoo
Dick Costolo, C.E.O, Twitter
Reed Hastings, C.E.O., Netflix
Check out this picture...I think that's Steve Jobs sitting on the presidents left and Mark Zuckerberg on his right.
These giants of the computer world all dined with the President in a sort of techie summit.
But one of the most interesting "facts" about the meeting is the lack of "facts" that have been released about it.
Even this picture of the arrival of Obama's motorcade projects the meeting's secrecy.
And I'm disappointed...There is so much I want to know.
Apple's Steve Jobs
Facebook founder Mark Zuckerberg
Oracle CEO Larry Ellison
Google honcho Eric Schmidt.
Carol Bartz, president and chief executive officer, Yahoo
Dick Costolo, C.E.O, Twitter
Reed Hastings, C.E.O., Netflix
Check out this picture...I think that's Steve Jobs sitting on the presidents left and Mark Zuckerberg on his right.
These giants of the computer world all dined with the President in a sort of techie summit.
But one of the most interesting "facts" about the meeting is the lack of "facts" that have been released about it.
Even this picture of the arrival of Obama's motorcade projects the meeting's secrecy.
And I'm disappointed...There is so much I want to know.
Friday, February 18, 2011
Update on Judicial Center
Last night at a forum sponsored by the local non-partisan political action committee Move Lowell Forward, Lowell's Assistant City Manager for Planning and Development Adam Baacke spoke for 90 minutes about various development projects underway within the city. One project relevant to the registry of deeds is the new judicial center which is to be built in the city's Hamilton Canal District.
Already underway is site remediation. Formerly the home of a gas station, a substantial amount of petroleum contaminants the were in the ground had to be removed. Most of this has been done. The second phase which will begin shortly is the relocation of a number of utilities such as water and sewer pipes that pass through the site.
More distant is construction of the building. The plan is to begin work in 2013 with the building opening in 2015. There is some ambiguity about this schedule, however, because the state's division of Administration and Finance has not yet released full bonding authority to the Division of Capital Asset Management, the agency that owns (and constructs) all state buildings. DCAM cannot begin design of the building until the money for the project is all in place so this is a potential trouble spot. Adam emphasized that the city's legislative delegation is on top of this issue and it's one of their top priorities.
Already underway is site remediation. Formerly the home of a gas station, a substantial amount of petroleum contaminants the were in the ground had to be removed. Most of this has been done. The second phase which will begin shortly is the relocation of a number of utilities such as water and sewer pipes that pass through the site.
More distant is construction of the building. The plan is to begin work in 2013 with the building opening in 2015. There is some ambiguity about this schedule, however, because the state's division of Administration and Finance has not yet released full bonding authority to the Division of Capital Asset Management, the agency that owns (and constructs) all state buildings. DCAM cannot begin design of the building until the money for the project is all in place so this is a potential trouble spot. Adam emphasized that the city's legislative delegation is on top of this issue and it's one of their top priorities.
Thursday, February 17, 2011
Mid-month statistics for February
The second month of 2011 is more than half gone, so let's take a look at the first two weeks of February recording stats compared to the same time next year. From February 1st through the 16th, there were 171 deeds recorded in 2010 and 154 recorded in 2011, a drop of 10%. In 2010 there were 414 mortgages, in 2011 there were 473 mortgages, an increase of 14%. In 2010 there were 28 foreclosure deeds, in 2011 there were 14, a decrease of 50%. In 2010, there were 80 orders of notice, in 2011 there were 25, a decrease of 69%.
Overall, these statistics are good news, especially when the difficult weather of the past two weeks is factored in. While the decrease in deeds being recorded is a negative, all other signs are positive, especially the significant drop in the number of foreclosure-related filings.
Overall, these statistics are good news, especially when the difficult weather of the past two weeks is factored in. While the decrease in deeds being recorded is a negative, all other signs are positive, especially the significant drop in the number of foreclosure-related filings.
Wednesday, February 16, 2011
Take on Watson
Do you like Jeopardy? Well, here is your chance to play the ultimate game.
On Monday I wrote about the three day battle between an IBM super-computer named Watson against two former Jeopardy champions. Well, after two nights of "Man Vs Machine"...machine is winning, big time.
Here's where they stand...
Brad Rutters (Human) $10,400
Ken Jennings (Human too) $4,800
Watson (Machine) $35,734
Yes, Watson is cruising along after two nights of competition earning three times the winnings as Jennings and Rutters...but you've got to give Jennings and Rutters credit...its not easy battling a machine with 21.6 terabytes of memory...
OK, so you think you'd like to take on Watson...well, here's your chance courtesy of the New York Times...click on the picture below to begin your game of Jeopardy against Watson.
On Monday I wrote about the three day battle between an IBM super-computer named Watson against two former Jeopardy champions. Well, after two nights of "Man Vs Machine"...machine is winning, big time.
Here's where they stand...
Brad Rutters (Human) $10,400
Ken Jennings (Human too) $4,800
Watson (Machine) $35,734
Yes, Watson is cruising along after two nights of competition earning three times the winnings as Jennings and Rutters...but you've got to give Jennings and Rutters credit...its not easy battling a machine with 21.6 terabytes of memory...
OK, so you think you'd like to take on Watson...well, here's your chance courtesy of the New York Times...click on the picture below to begin your game of Jeopardy against Watson.
Tuesday, February 15, 2011
How many orders of notice result in foreclosure deeds?
Two documents form the bookends of every foreclosure: the Order of Notice which comes at the beginning and the Foreclosure Deed which comes at the end. But every Order of Notice does not necessarily result in a Foreclosure Deed. A borrower who is the recipient of an Order of Notice might avoid foreclosure by (1) negotiating a modification of the mortgage with the lender; (2) obtaining sufficient funds from other sources to bring the mortgage current; (3) refinancing the mortgage; (4) selling the property; (5) conveying the property to the lender with a deed in lieu of foreclosure; or (6) some other option.
To try to determine what percentage of Orders of Notice ripen into Foreclosure Deeds, I generated a list of all Orders of Notice recorded for property in Lowell from July 1, 2006 to June 30, 2010 and then a list of all Foreclosure Deeds recorded for property in Lowell from January 1, 2007 to December 31, 2010. The six month offset was to account for the approximately six month gap between the recording of the Order of Notice and of the Foreclosure Deed for the same property that is shown in Figure 8 above. The two lists were then combined and sorted by address and date. Every Order of Notice on that list was then categorized as (1) having a corresponding foreclosure deed; (2) having no corresponding foreclosure deed; and (3) being a duplicate of another Order of Notice.
There were a total of 2053 Orders of Notice on the list and only 1305 Foreclosure Deeds. The number of Orders of Notice that matched Foreclosure Deeds was 1284 (63%); the number that had no corresponding Foreclosure Deeds was 645 (31%); and the number of Orders of Notice that were duplicates was 124 (6%). So fewer only two out of every three Orders of Notice result in a foreclosure.
To try to determine what percentage of Orders of Notice ripen into Foreclosure Deeds, I generated a list of all Orders of Notice recorded for property in Lowell from July 1, 2006 to June 30, 2010 and then a list of all Foreclosure Deeds recorded for property in Lowell from January 1, 2007 to December 31, 2010. The six month offset was to account for the approximately six month gap between the recording of the Order of Notice and of the Foreclosure Deed for the same property that is shown in Figure 8 above. The two lists were then combined and sorted by address and date. Every Order of Notice on that list was then categorized as (1) having a corresponding foreclosure deed; (2) having no corresponding foreclosure deed; and (3) being a duplicate of another Order of Notice.
There were a total of 2053 Orders of Notice on the list and only 1305 Foreclosure Deeds. The number of Orders of Notice that matched Foreclosure Deeds was 1284 (63%); the number that had no corresponding Foreclosure Deeds was 645 (31%); and the number of Orders of Notice that were duplicates was 124 (6%). So fewer only two out of every three Orders of Notice result in a foreclosure.
Monday, February 14, 2011
What is Man vs Machine?
Tonight is the night...
What is February 14?, Alex
Tonight the battle begins to answer the big question.
What is "can a computer out smart a human"?, Alex
Tonight Jeopardy champions Ken Jennings and Brad Rutter face off against an IBM Supercomputer.
What is Watson?, Alex
IBM developed Watson rating the game show as "the ultimate example of displaying knowledge that requires more than just a basic formula or playbook".
What is Jeopardy?, Alex
And this will be a marathon of a contest. Jennings, Rutter and Watson will battle each other for three consecutive nights. Unlike most Jeopardy events the scores of these contestants will roll from show to show.
What is the format?, Alex
IBM was so eager for Watson to compete, it built an entire Jeopardy set at one of its corporate headquarters and brought Alex Trebek and company to Watson.
Where is upper-state New York?, Alex
The battle should make great TV viewing and as contestant Ken Jenning said..."This time, I'm not just playing to pay my mortgage or something, or to feed my kid's college fund, I'm actually sort of representing 7 billion human beings against our new machine tyrants".
What is exaggeration?, Alex
Friday, February 11, 2011
The Daily
Last week Rupert Murdoch's News Corp released its much anticipated all digital newspaper called The Daily. Murdoch brags that The Daily features "stunning photography, 360 degree photos and HD video". The media giant spent close to $30 million to develop his digital newspaper but the cost to "distribute" the periodical is negligible. The media world is closely watching the public's reaction to The Daily.
Is it The Daily the future of journalism? Time will tell.
Is it The Daily the future of journalism? Time will tell.
Thursday, February 10, 2011
Preparing for the new Homestead Law
The new Homestead law goes into effect next month - March 16, I believe. An agent for Old Republic National Title Insurance showed me a bulletin the title insurer prepared regarding the new law. Hoping Old Republic will forgive me for appropriating its work, here's the content of the bulletin:
In 1980, the Supreme Judicial Court issued its opinion in Atlantic Savings Bank v. Metropolitan Bank and Trust Co., 9 Mass.App.Ct.286, 400 N.E.2d 1290, (1980), which for conveyancers, was a seminal case in the law of Homesteads in Massachusetts. The Atlantic Court held that a mortgage executed by a homeowner and his spouse was superior to a prior-recorded Declaration of Homestead. Atlantic Savings Bank at 1291. Unfortunately, the case left many other questions unanswered and those issues have been the basis of a great deal of debate and uncertainty in the intervening period. With the passage of the new Homestead Law (2010 Mass. Acts Chapter 395), the legislature has rewritten M.G.L. c. 188 and answered those questions giving conveyancers a clear protocol that had been lacking until now. Effective March 16, 2011, the statute not only codifies the holding in Atlantic Savings Bank, it expands the scope of homesteads generally and does away with some of the prior law’s more anachronistic provisions.
What follows is a brief overview of some of the new provisions of chapter 188 with a view toward alerting our agents to those provisions of the statute which most impact conveyancing practice. Section numbers are references to the new sections. As always, agents are encouraged to review the statute and contact the Underwriting Department with any questions or concerns.
Automatic Subordination of Prior Homestead (Section 9): As mentioned above, the new statute codifies the holding in Atlantic Savings Bank. Specifically, section 9 provides that a when a mortgage is signed by all the owners of the property, a prior-recorded Declaration of Homestead will automatically be subordinate to that mortgage. However, the statute changes prior practice in that it no longer requires a non-titled spouse to sign the mortgage in order to subordinate the homestead to the new mortgage. Further, the mortgage no longer needs to contain subordination language which was a prerequisite to subordination for the SJC in Atlantic Savings Bank. Finally, section 9 prohibits a lender from requiring a release of Homestead prior to recording a mortgage.
Automatic Homestead (Section 4): The statute now provides for an automatic homestead without any action required of the owner. The automatic homestead under section four provides for $125,000.00 protection for the owner and her family. It should be noted, however, that while this is an improvement upon the old statute where no coverage was provided on an automatic basis, the protection provided is still significantly less than the $500,000 protection provided under the declared homestead option under section five.
Declared Homestead (Section 5): The new statute provides $500,000.00 protection on the recording of a written Declaration of Homestead. Section 5 provides several requirements for the form of declaration to be recorded, notable among these:
1. Non-title spouse must be identified (§ 5(a)(1)). This is a codification of prior practice and the dictates of Atlantic Savings Bank.
2. The homestead declaration cannot be made in a deed (§ 5(c)).
3. Homesteads may now be declared where the home is owned by a trust, and it is anticipated that the trustees would execute the declaration (§ 5(a)(1)). Further, the beneficiaries of the trust should be identified in the declaration (§ 5(a)(1)) and § 1).
4. If the homestead is declared while the owner is single, and the owner is subsequently married, the homestead shall accrue to the benefit of the new spouse, and that benefit shall accrue as of the date of the original filing (§ 5(d)).
Termination (Section 10): Agents will recall many situations where certain inter-family transfers resulted in a homestead’s inadvertent termination creating in some cases an undue hardship in contravention of the purposes of the statute. The new statute provides very clear parameters for termination and, as importantly, to prevent inadvertent termination. Under this section, termination must be evidenced by an intent to terminate and be in very specific form:
1. Deed to a non-family member signed by the owner and the non-titled spouse;
2. Release signed by owner and non-owner spouse;
3. By abandonment of the home by the owner, owner’s spouse and family;
4. In the case of trusts, a deed or release signed by the trustee or by the release or abandonment by the beneficiary named in the declaration;
Significantly, section 10 provides a safety net for those transactions which are not meant to affect a termination. Consequently, the following conveyances will not affect the homestead:
1. Deeds between spouses or co-owners who individually or jointly hold a homestead;
2. Deeds between a trustee and beneficiary;
3. Deeds between a life tenant and a remainderman, unless in all of the above cases, there is an express release in the deed.
Further, section 10(d) provides that nothing contained in a mortgage will act to terminate a homestead.
Multiple Owners: In a departure from prior practice, the new statute anticipates that a homestead may be declared by multiple owners (§ 5(a) and § 3(a)). That is, each co-tenant, joint owner or tenant by the entirety may declare their own homestead.
Notice (Section 14): The statute requires that the closing attorney provide the mortgagor with a notice of the right to declare a homestead under c. 188. The notice should be signed by the mortgagor to acknowledge receipt and should include inter alia:
1. a summary of the differences between the automatic homestead protections and the declared homestead protections;
2. the enhanced benefits of the declared homestead protections.
Old Homesteads remain in effect under the new c. 188: Finally, the new statute provides that all homesteads currently in effect will remain in full force notwithstanding their failure to comply with provisions of the new statute.
In 1980, the Supreme Judicial Court issued its opinion in Atlantic Savings Bank v. Metropolitan Bank and Trust Co., 9 Mass.App.Ct.286, 400 N.E.2d 1290, (1980), which for conveyancers, was a seminal case in the law of Homesteads in Massachusetts. The Atlantic Court held that a mortgage executed by a homeowner and his spouse was superior to a prior-recorded Declaration of Homestead. Atlantic Savings Bank at 1291. Unfortunately, the case left many other questions unanswered and those issues have been the basis of a great deal of debate and uncertainty in the intervening period. With the passage of the new Homestead Law (2010 Mass. Acts Chapter 395), the legislature has rewritten M.G.L. c. 188 and answered those questions giving conveyancers a clear protocol that had been lacking until now. Effective March 16, 2011, the statute not only codifies the holding in Atlantic Savings Bank, it expands the scope of homesteads generally and does away with some of the prior law’s more anachronistic provisions.
What follows is a brief overview of some of the new provisions of chapter 188 with a view toward alerting our agents to those provisions of the statute which most impact conveyancing practice. Section numbers are references to the new sections. As always, agents are encouraged to review the statute and contact the Underwriting Department with any questions or concerns.
Automatic Subordination of Prior Homestead (Section 9): As mentioned above, the new statute codifies the holding in Atlantic Savings Bank. Specifically, section 9 provides that a when a mortgage is signed by all the owners of the property, a prior-recorded Declaration of Homestead will automatically be subordinate to that mortgage. However, the statute changes prior practice in that it no longer requires a non-titled spouse to sign the mortgage in order to subordinate the homestead to the new mortgage. Further, the mortgage no longer needs to contain subordination language which was a prerequisite to subordination for the SJC in Atlantic Savings Bank. Finally, section 9 prohibits a lender from requiring a release of Homestead prior to recording a mortgage.
Automatic Homestead (Section 4): The statute now provides for an automatic homestead without any action required of the owner. The automatic homestead under section four provides for $125,000.00 protection for the owner and her family. It should be noted, however, that while this is an improvement upon the old statute where no coverage was provided on an automatic basis, the protection provided is still significantly less than the $500,000 protection provided under the declared homestead option under section five.
Declared Homestead (Section 5): The new statute provides $500,000.00 protection on the recording of a written Declaration of Homestead. Section 5 provides several requirements for the form of declaration to be recorded, notable among these:
1. Non-title spouse must be identified (§ 5(a)(1)). This is a codification of prior practice and the dictates of Atlantic Savings Bank.
2. The homestead declaration cannot be made in a deed (§ 5(c)).
3. Homesteads may now be declared where the home is owned by a trust, and it is anticipated that the trustees would execute the declaration (§ 5(a)(1)). Further, the beneficiaries of the trust should be identified in the declaration (§ 5(a)(1)) and § 1).
4. If the homestead is declared while the owner is single, and the owner is subsequently married, the homestead shall accrue to the benefit of the new spouse, and that benefit shall accrue as of the date of the original filing (§ 5(d)).
Termination (Section 10): Agents will recall many situations where certain inter-family transfers resulted in a homestead’s inadvertent termination creating in some cases an undue hardship in contravention of the purposes of the statute. The new statute provides very clear parameters for termination and, as importantly, to prevent inadvertent termination. Under this section, termination must be evidenced by an intent to terminate and be in very specific form:
1. Deed to a non-family member signed by the owner and the non-titled spouse;
2. Release signed by owner and non-owner spouse;
3. By abandonment of the home by the owner, owner’s spouse and family;
4. In the case of trusts, a deed or release signed by the trustee or by the release or abandonment by the beneficiary named in the declaration;
Significantly, section 10 provides a safety net for those transactions which are not meant to affect a termination. Consequently, the following conveyances will not affect the homestead:
1. Deeds between spouses or co-owners who individually or jointly hold a homestead;
2. Deeds between a trustee and beneficiary;
3. Deeds between a life tenant and a remainderman, unless in all of the above cases, there is an express release in the deed.
Further, section 10(d) provides that nothing contained in a mortgage will act to terminate a homestead.
Multiple Owners: In a departure from prior practice, the new statute anticipates that a homestead may be declared by multiple owners (§ 5(a) and § 3(a)). That is, each co-tenant, joint owner or tenant by the entirety may declare their own homestead.
Notice (Section 14): The statute requires that the closing attorney provide the mortgagor with a notice of the right to declare a homestead under c. 188. The notice should be signed by the mortgagor to acknowledge receipt and should include inter alia:
1. a summary of the differences between the automatic homestead protections and the declared homestead protections;
2. the enhanced benefits of the declared homestead protections.
Old Homesteads remain in effect under the new c. 188: Finally, the new statute provides that all homesteads currently in effect will remain in full force notwithstanding their failure to comply with provisions of the new statute.
Wednesday, February 09, 2011
Elevator Update
There has been much progress since the last time I took pictures of the elevator construction here at the Middlesex North Registry of Deeds...the elevator doors are in, a large part of the ramp is done, much of the finish trim has been installed and the support railings along the walls are in place.
Tuesday, February 08, 2011
Housing Bubbles
Robert Shiller, the co-founder of the S&P/Case-Shiller Home Price Index, wrote a column in the Sunday business section of the New York Times about housing bubbles. He says that while there have been many localized bubbles through the years, a nationwide real estate slump has been very rare and when they do occur, they are not repeated for decades. He says that bubbles are impossible without extreme public enthusiasm and that surveys that still show many Americans consider housing to be an "investment" are disturbing (a house is not an investment; it's a place to live that depreciates in value over time) and that such an attitude, if it strengthens, would create a hospitable environment for another bubble. Shiller does believe, however, that a very active Federal reserve plus some of the reforms created by the Dodd-Franks law will make the return of a housing bubble even less likely anytime soon.
Monday, February 07, 2011
Super Bowl XLV
Another Super Bowl is part of history. Before the start of the game I hoped for three things: (1)a Green Bay victory; (2) an exciting game; and (3) entertaining commercials. With the Packers beating Pittsburgh, 31-25 in a game in which the outcome was in doubt until the final moments, the first two were met. For the most part, I found the commercials very entertaining. My favorite was a commercial for the Chevy Cruze Eco that was set in a nursing home. Some were offended saying it poked fun at the elderly, but my attitude was we're all going to be elderly some day, so it really applied to everyone.
Friday, February 04, 2011
"Title to Murder"
The city of Lowell has been receiving a lot of attention recently as the setting for the Academy Award nominated film, "The Fighter" which is the story of Lowell boxer Micky Ward. Filmed in the city during the summer of 2009 - with two scenes done here at the Middlesex Superior Courthouse - the movie has already won Golden Globe and Screen Actors Guild awards and is up for several Oscars on February 27.
It turns out that the courthouse in Lowell is not the only venue to be used in movie production. A friend from Cambridge recently sent me a link to a 2001 movie called "Title to Murder" which was filmed at the Registry of Deeds in Cambridge.
Starring Maureen McCormick (Marcia from "The Brady Bunch") and Christopher Atkins (from "Blue Lagoon") and directed by Stephen Furst ("Flounder" from "Animal House"), "Title to Murder" is best described on the film's website:
I don't remember "Title to Murder" in the theaters, but it was recorded at the registry of deeds in Cambridge, which is quite evident from the trailer embedded on the film's website (which I can't embed here, so go to the website and watch it). But if you're interested in catching a film about title examiners, "Title to Murder" is available on Amazon.
It turns out that the courthouse in Lowell is not the only venue to be used in movie production. A friend from Cambridge recently sent me a link to a 2001 movie called "Title to Murder" which was filmed at the Registry of Deeds in Cambridge.
Starring Maureen McCormick (Marcia from "The Brady Bunch") and Christopher Atkins (from "Blue Lagoon") and directed by Stephen Furst ("Flounder" from "Animal House"), "Title to Murder" is best described on the film's website:
Maureen McCormick is Leah Farrell, a bored and frustrated title examiner from Charlestown, Massachusetts but a routine title examination changes everything. An elderly woman has disappeared and when Leah goes snooping, she suddenly finds herself in line to be the next victim. District Attorney Paul Shaughnessy, played by Christopher Atkins has got to move fast if he's to prevent Leah from becoming the next murder victim.
I don't remember "Title to Murder" in the theaters, but it was recorded at the registry of deeds in Cambridge, which is quite evident from the trailer embedded on the film's website (which I can't embed here, so go to the website and watch it). But if you're interested in catching a film about title examiners, "Title to Murder" is available on Amazon.
Thursday, February 03, 2011
Policy on weather-related closure of registry
I became Register of Deeds on January 5, 1995 and that next winter, the 1995-96 season, set the all-time record for the most snowfall ever recorded in this region. We didn't have a blog back then, so the documentation of our experiences in that winter 15 years ago is sketchy.
Our snow totals this year, while considerable, still have a ways to go to threaten that record. Still, we've had plenty of stormy days this winter, many of which have had an impact on our operations. The toughest situation to deal with is the overnight storm that continues into the start of the workday. Our policy right now of whether the registry will remain closed or have a delayed opening is dictated by the Trial Court, our landlord here in the Superior Courthouse. If the court is closed, then we are closed.
The best way to find out if the courthouse is closed is to visit the Trial Court website. Closures and delays are indicated by a notice that is placed on that site, usually by 6 am, on a stormy day. Such a notice was there yesterday. Another appeared back on January 27 - I captured a screen shot of that one.
One warning about the Trial Court website: if you've visited it before the notice goes up, your computer automatically stores a copy of the older version of the page. When you revisit that site, your computer will reload the earlier version of the page that was stored on your computer, the version that doesn't contain the weather-notice. You have to click on your browser's "Refresh" button to force your computer to reach out to the Trail Court server and load the latest version of that page.
If all that "refresh" stuff seems too complicated, you can also check here. As soon as I see an announcement on the Trial Court website, I post it here, just as I did at 6:11 a.m. yesterday morning.
Finally, if the snow is falling heavily during the day, there is always a chance the registry may close early. If you have a late-in-the-day recording to do and it's snowing, please call us at 978/322-9000 to ascertain our status.
Our snow totals this year, while considerable, still have a ways to go to threaten that record. Still, we've had plenty of stormy days this winter, many of which have had an impact on our operations. The toughest situation to deal with is the overnight storm that continues into the start of the workday. Our policy right now of whether the registry will remain closed or have a delayed opening is dictated by the Trial Court, our landlord here in the Superior Courthouse. If the court is closed, then we are closed.
The best way to find out if the courthouse is closed is to visit the Trial Court website. Closures and delays are indicated by a notice that is placed on that site, usually by 6 am, on a stormy day. Such a notice was there yesterday. Another appeared back on January 27 - I captured a screen shot of that one.
One warning about the Trial Court website: if you've visited it before the notice goes up, your computer automatically stores a copy of the older version of the page. When you revisit that site, your computer will reload the earlier version of the page that was stored on your computer, the version that doesn't contain the weather-notice. You have to click on your browser's "Refresh" button to force your computer to reach out to the Trail Court server and load the latest version of that page.
If all that "refresh" stuff seems too complicated, you can also check here. As soon as I see an announcement on the Trial Court website, I post it here, just as I did at 6:11 a.m. yesterday morning.
Finally, if the snow is falling heavily during the day, there is always a chance the registry may close early. If you have a late-in-the-day recording to do and it's snowing, please call us at 978/322-9000 to ascertain our status.
Wednesday, February 02, 2011
Delayed opening today
The Middlesex North Registry of Deeds will not open until 11 am today due to the ongoing snow. Same goes for all courts in the following counties: Berkshire, Essex, Franklin, Hampden, Hampshire, Middlesex, Norfolk, Suffolk and Worcester.
Tuesday, February 01, 2011
Registry Closing Early Today
The Middlesex North Registry of Deeds will close today at 3:30 due to the ongoing snowstorm.
Tomorrow and for future beginning-of-the-day storms, check the Trial Court's website for any announcements about building closings. The Registry of Deeds follows the Trial Court's decision about closing or delaying the opening of the Superior Courthouse.
Tomorrow and for future beginning-of-the-day storms, check the Trial Court's website for any announcements about building closings. The Registry of Deeds follows the Trial Court's decision about closing or delaying the opening of the Superior Courthouse.
January statistics
The positive trends from the 4th quarter of 2010 continue into January 2011. In the October through December time period for 2010 when compared to the same period in 2009, the number of mortgages recorded was up 44% while the number of foreclosure deeds and orders of notice were down by the same percentage. Deeds were down by 8% which was the only statistic that was even slightly negative. The numbers for January 2011 are even better. When compared to the same month in 2010, this number of deeds recorded in this January was up 13%, mortgages up 38%, foreclosure deeds down 61%, and orders of notice down 84%.
Monday, January 31, 2011
What Cloud?
Today everyone in the technology world is talking about "the cloud".
What cloud? I keep asking myself...
The video below helps explain "cloud computing" and how it might revolutionize the computer industry and the way we use our home computers.
What cloud? I keep asking myself...
The video below helps explain "cloud computing" and how it might revolutionize the computer industry and the way we use our home computers.
Friday, January 28, 2011
The Challenger: 25 years ago today
On January 28, 1986 at 11:38 am EST, the space shuttle Challenger blew-up 78 seconds into its flight, destroying the vehicle and all seven aboard. The disaster was caused by the cold temperatures on the ground that day which in turn caused a rubber o-ring (a simple ring made of rubber that acted as a seal between two sections of the solid fuel booster rocket) to lose its resiliency and fail to fill the gap into which it had been place. This allowed flame from the booster rocket to exude from its side, piercing the main fuel tank and destroying a strut that held the booster rocket in place. The resulting lose of stability at incredibly high speed together with the explosive fire that occurred when the fuel tank was ruptured, destroyed the vehicle in mid-flight.
In the following video, physicist Richard Feynman, a member of the panel investigating the Challenger disaster, uses a glass of ice water and a rubber ring to demonstrate what happened:
In the following video, physicist Richard Feynman, a member of the panel investigating the Challenger disaster, uses a glass of ice water and a rubber ring to demonstrate what happened:
Thursday, January 27, 2011
Delayed opening on Thursday, Jan 27
All courts in Middlesex County will remain closed today until 11 am due to the snow. Because the Registry of Deeds is located in the Superior Courthouse in Lowell, we are unable to open until 11 am.
Above is a screen shot from the Trial Court's website. For future reference, you may check that site to learn of any court closings or delays.
Wednesday, January 26, 2011
MERS CEO to leave company
The Wall Street Journal is reporting that RK Arnold, the CEO of Mortgage Electronic Registration Systems for the past 15 years, is resigning from the company in the next few days. The story details the various controversies surrounding MERS after courts and attorneys general across the country (including here in Massachusetts) have questioned the legality of MERS entire business model in which MERS holds title to the mortgage but not to the underlying promissory note, an arrangement that runs contrary to a principal of property law that has remained intact for more than a century.
Tuesday, January 25, 2011
iPhone 5 Coming in June, Of Course
I own an iPhone 4G. It is my second iPhone. Before the 4G, I owned the first generation iPhone.
I must admit, I love both of them (of course).
In America April has become synonymous with the fresh crack of a baseball bat and June traditionally brings a new Apple iPhone.
(As you would expect, of course) Geeky people like me love this and can't wait to see the new Apple creation.
Each new iPhone brings fascinating advancements, so (of course) around this time each year the rumor mill is in over-drive.
This year two major iPhone 5 rumors center around social networking (what else, of course). One feature to be introduced is called "media stream". Media Stream gives friends and family the ability to directly access pictures and video files on your phone (if you want, of course). Another social networking feature is called "Find A Friend". This feature uses Google Latitude and GPS to determine the location of a friend at any given time (if they agree, of course).
There are also rumors stating the new iPhone will change physically as well. First, 5G will be slimmer than the already sleek 4G. And techie magazines are reporting that Steve Jobs never liked the "Home Button" on the iPhone. Apparently, Apple engineers have finally found a way to eliminate it (of course they did, he's the boss).
As soon as a picture is leaked, I'll post it (and of course, you know that will happen).
Monday, January 24, 2011
Henry Knox, the 'Bookseller" Hero
click to enlarge map
I have always been fascinated by the story of patriot Henry Knox. Knox was a bookseller in Boston with a vast knowledge of artillery. He acquired this knowledge more through reading than actual experience.
In 1775 British troops held Boston in a stranglehold and George Washington's Continental Army was helpless to break the unpopular occupation. Knox approached Washington with what many considered to be an outlandish idea. The "bookseller" proposed that he and a group of men travel 300 miles to the recently captured Fort Ticonderoga in New York and transport its artillery to Boston. The artillery would give Washington the firepower he needed to drive the British out of the city. Washington surprisingly agreed to the risky plan.
Knox set out for Ticonderoga on December 1, 1775. Four days later the group completed the journey and disassembled 59 pieces of artillery. Knox's men loaded the artillery on carts drawn by oxen. Later they transferred the cannons to sleds to cross the iced-over Hudson River as they continued to Boston.
Along the way Knox passed through the towns of Spencer, Worcester, Shrewsbury, Marlborough, Waylands and Watertown to mentioned just a few.
Finally, 235 years ago today, January 24, 1776 Henry Knox completed the impossible journey and delivered the cannons to George Washington at his headquarters in Cambridge.
The guns remained at the headquarters until March 4 when the Continental Army positioned them on Dorchester Heights overlooking the British Army. When General Howe saw Knox's artillery aimed at down at his forces, he knew retreat was his only option.
Two weeks latter, on March 17, 1776 Howe withdrew his troops, ending the British occupation of Boston... thanks in large part to a "bookseller".
I have always been fascinated by the story of patriot Henry Knox. Knox was a bookseller in Boston with a vast knowledge of artillery. He acquired this knowledge more through reading than actual experience.
In 1775 British troops held Boston in a stranglehold and George Washington's Continental Army was helpless to break the unpopular occupation. Knox approached Washington with what many considered to be an outlandish idea. The "bookseller" proposed that he and a group of men travel 300 miles to the recently captured Fort Ticonderoga in New York and transport its artillery to Boston. The artillery would give Washington the firepower he needed to drive the British out of the city. Washington surprisingly agreed to the risky plan.
Knox set out for Ticonderoga on December 1, 1775. Four days later the group completed the journey and disassembled 59 pieces of artillery. Knox's men loaded the artillery on carts drawn by oxen. Later they transferred the cannons to sleds to cross the iced-over Hudson River as they continued to Boston.
Along the way Knox passed through the towns of Spencer, Worcester, Shrewsbury, Marlborough, Waylands and Watertown to mentioned just a few.
Finally, 235 years ago today, January 24, 1776 Henry Knox completed the impossible journey and delivered the cannons to George Washington at his headquarters in Cambridge.
The guns remained at the headquarters until March 4 when the Continental Army positioned them on Dorchester Heights overlooking the British Army. When General Howe saw Knox's artillery aimed at down at his forces, he knew retreat was his only option.
Two weeks latter, on March 17, 1776 Howe withdrew his troops, ending the British occupation of Boston... thanks in large part to a "bookseller".
Friday, January 21, 2011
Worcester County Courthouse
Earlier this week I wrote about the risks that face the Middlesex Superior Courthouse here in Lowell after the new Judicial Center opens in 2015. Much of the concern about the fate of the Lowell courthouse is due to a like situation in Worcester. In that city, all court functions moved from the 112-year old Worcester County Courthouse into a new judicial center in 2007. At the same time, the Worcester Registry of Deeds moved into leased space at the former Worcester Galleria Mall. The county courthouse remained vacant since then; and on December 30, 2010, the Division of Capital Asset Management, the state agency responsible for all state buildings, had an auction scheduled to sell the structure. When only one bidder came forward to participate in the auction, DCAM canceled it. Now the future use and even the future survival of the Worcester County Courthouse are in doubt. Hopefully, the same thing doesn't happen here in Lowell.
Thursday, January 20, 2011
"The Fighter" and the Golden Globes
Regular readers of this site know that we have a deep interest in the movie, "The Fighter" which is the story of Lowell boxer Micky Ward. The movie was filmed here in Lowell during the summer of 2009 including several scenes right here in the courthouse in which the registry of deeds is located. This past Sunday night at the Golden Globes award ceremony, "The Fighter" won two awards. Christian Bale was named Best Supporting Actor for his portrayal of Ward's half-brother, Dick Ecklund and Melissa Leo won the Best Supporting Actress award for her role as Alice Ward, Micky's mother. With such a good showing with these awards, interest is building for the Academy Awards in March. Over time, I've created a Google Map Mashup that identifies various spots around the city that were used in the filming of the movie. Here it is:
View "The Fighter" in a larger map
View "The Fighter" in a larger map
Wednesday, January 19, 2011
New Legislation on Foreclosures
With the start of the new legislative session on Beacon Hill, a number of bills have been filed that would effect the process of foreclosures in Massachusetts. As reported by the Boston Globe yesterday, one proposal would require all foreclosures to be first approved by a judge, another would "force lenders to prove they possessed a valid title" and a third would "require foreclosing banks to negotiate with homeowners by sitting down with a third-party mediator."
While there may be near unanimous agreement that foreclosures are a problem, reaching consensus on the causes of the problem or the proper response is more elusive. For that reason, many of the bills of the type described above tend to linger in committee and die a slow death. It's perhaps better to move slowly when amending procedures that have been in place for long periods of time.
While there may be near unanimous agreement that foreclosures are a problem, reaching consensus on the causes of the problem or the proper response is more elusive. For that reason, many of the bills of the type described above tend to linger in committee and die a slow death. It's perhaps better to move slowly when amending procedures that have been in place for long periods of time.
Tuesday, January 18, 2011
The Future of the Superior Courthouse
This past Sunday's Lowell Sun ran a story about the uncertain future of the Middlesex Superior Courthouse after the new Lowell Judicial Center opens in 2015. Once that facility is operational, the Superior Court and related functions such as the Clerk's Office and Probation will move to it along with the District Court and perhaps the Juvenile Court (which is now in rented quarters with a long-term lease). The Registry of Deeds will not go to the Judicial Center - that much is clear. Where we will go is an open question. It's possible that we will stay here or move to another site. The possibility of the registry moving has been apparent for years, so everything we have done (digitizing records, purchasing and disposing of equipment and furnishings) has been compatible with moving to a smaller facility.
The bigger question to me is what will happen to this building? Any redevelopment will certainly be a challenge given the age of the building and a certain amount of disrepair. But the building is in a great location with the highway 100 yards to the south, the train station 200 yards to the west, and downtown Lowell 250 yards to the north. Plus, the building is spacious, has had many updates, and has parking and green space. Despite all those assets, if nothing is done until after the Superior Court moves out, chances are it will be too late to save this structure.
The bigger question to me is what will happen to this building? Any redevelopment will certainly be a challenge given the age of the building and a certain amount of disrepair. But the building is in a great location with the highway 100 yards to the south, the train station 200 yards to the west, and downtown Lowell 250 yards to the north. Plus, the building is spacious, has had many updates, and has parking and green space. Despite all those assets, if nothing is done until after the Superior Court moves out, chances are it will be too late to save this structure.
Friday, January 14, 2011
Statistics for mid-January 2011
With a long weekend in front of us (this coming Monday is the Martin Luther King holiday and the courthouse and registry will be closed), it's time to look at our mid-January recording statistics. Although 2010 as a whole presented bleak stats (compared to 2009, deeds and mortgages were flat and orders of notice and foreclosure deeds were up about 40%), since October, the trends have been quite positive, with mortgages up 40% each month when compared to the same month in the previous year, and foreclosure activity down more than 50%.
These positive end-of-2010 trends continue into the beginning of 2011. When January 1 through the 13 of 2011 is compared to the same days in 2010, we find that deeds are up 18%, mortgages up 59%, and foreclosure deeds and orders of notice both down 80%. Hopefully these positive trends will continue.
These positive end-of-2010 trends continue into the beginning of 2011. When January 1 through the 13 of 2011 is compared to the same days in 2010, we find that deeds are up 18%, mortgages up 59%, and foreclosure deeds and orders of notice both down 80%. Hopefully these positive trends will continue.
Thursday, January 13, 2011
Snowstorm aftermath
The registry of deeds is open for business this morning and all the sidewalks and stairs leading into the courthouse are clear of snow. School was canceled in Lowell today which was probably a wise decision. We received close to 20 inches of snow yesterday and it didn't stop falling until early last evening. The streets are clear but they are also narrow, the snow banks are high, and even sidewalks that had once been shoveled now have giant mounds of snow blocking the walking path across streets. An extra day for cleanup will make it safer for the kids.
We, along with all courthouses in the state, were closed yesterday which is a rare occurrence. All are open today. We only had 62 electronic recordings waiting for us which is about average these days, so there wasn't a big backlog. As I write, the mail carrier pulled up out front. He doesn't seem to have a larger than normal quantity of incoming mail. I think East Coast storms as compared to those directed just at New England push back mail delivery several days because of the large volume of mail that travels by air.
The biggest problem we face seems to be the tin roof that was constructed over the front entrance to the courthouse. This was built ten years ago as a temporary measure to protect against chunks of the building's facade that had began tumbling down onto the front stairs. The thing has been up for so long and has been subjected to so much wind and weather that it's starting to peel off. Already two panels have flown off. Today's wind causes the next panel in line to buck and bang. Soon it's remaining anchor screws will give way and the sheet of medal will slice down onto the sidewalk. Hopefully no one will be standing there when it falls. The trial court maintenance has told folks who called to complain that it will be repaired as soon as possible. Let' hope so.
We, along with all courthouses in the state, were closed yesterday which is a rare occurrence. All are open today. We only had 62 electronic recordings waiting for us which is about average these days, so there wasn't a big backlog. As I write, the mail carrier pulled up out front. He doesn't seem to have a larger than normal quantity of incoming mail. I think East Coast storms as compared to those directed just at New England push back mail delivery several days because of the large volume of mail that travels by air.
The biggest problem we face seems to be the tin roof that was constructed over the front entrance to the courthouse. This was built ten years ago as a temporary measure to protect against chunks of the building's facade that had began tumbling down onto the front stairs. The thing has been up for so long and has been subjected to so much wind and weather that it's starting to peel off. Already two panels have flown off. Today's wind causes the next panel in line to buck and bang. Soon it's remaining anchor screws will give way and the sheet of medal will slice down onto the sidewalk. Hopefully no one will be standing there when it falls. The trial court maintenance has told folks who called to complain that it will be repaired as soon as possible. Let' hope so.
Wednesday, January 12, 2011
Registry of Deeds closed today
All courts in Massachusetts are closed today due to the ongoing snowstorm, so the Middlesex North Registry of Deeds in Lowell is closed today as well. We will reopen at 8:30 am tomorrow.
Tuesday, January 11, 2011
More thoughts on Ibanez
Here are more of my thoughts on the SJC's Ibanez decision: I don't think the result is as apocalyptic as many may portray it although it still presents a substantial glitch in the land records system. Certainly the most prudent course for any future foreclosure is to be sure the proper assignments in their traditional form are completed and recorded in the proper sequence - that's the only way to "foreclose" an endless stream of questions and doubts from future attorneys who are assessing the state of the title. But that's not what the SJC ruling requires which is a good thing since so many parties to the securitization chain either no longer exist or exist only as a different corporate entity. If the original lender no longer exists, how can it produce a valid assignment if one didn't exist before its demise?
What the SJC requires is sufficient evidence that the assignment was completed before the assignment actually took place. That evidence must be a writing, signed by the party doing the transfer that adequately describes the mortgage being transferred. What might satisfy that evidentiary requirement is almost limitless. It might be an email or a cover letter or a computer printout. So the first problem is one of evidence. Who has custody of all of this documentation (in both paper and electronic form) and who can find it? As the whole robo-signing controversy shows, this industry paid little attention to the details of documenting these transactions so trying to reconstruct what was shoddy documentation in the first places is a big obstacle.
The second big issue is who is to be the judge of this evidence? For every non-traditional assignment (meaning anything that is not the written, signed, notarized document recorded at the registry of deeds) someone has to determine whether the evidence presented is sufficient. Does it have to be a judge? Or will the title insurers come to some type of consensus on what constitutes adequate proof - will an affidavit by an attorney attaching copies of email, printouts, etc, that establish the chain of ownership of the mortgage that all then gets recorded at the registry of deeds be sufficient? Obviously the affidavit is a lot less burdensome than a formal judicial petition. With so much antagonism towards the lending industry, however, I don't think too many people will be worried about what's easiest for them.
Ultimately, I believe the solution must be a legislative one. Back in 2004, the state legislature amended MGL c.183, s.54 regarding mortgage discharges. Back then, many homeowners found it almost impossible to obtain mortgage discharges because of turbulence in the lending industry. In this statutory amendment, the legislature enumerated specific types of documentation that could be used, often in conjunction with an attorney affidavit, in lieu of a traditional discharge. I suspect that might be the best solution to this issue, although it will take a year or more to enact.
What the SJC requires is sufficient evidence that the assignment was completed before the assignment actually took place. That evidence must be a writing, signed by the party doing the transfer that adequately describes the mortgage being transferred. What might satisfy that evidentiary requirement is almost limitless. It might be an email or a cover letter or a computer printout. So the first problem is one of evidence. Who has custody of all of this documentation (in both paper and electronic form) and who can find it? As the whole robo-signing controversy shows, this industry paid little attention to the details of documenting these transactions so trying to reconstruct what was shoddy documentation in the first places is a big obstacle.
The second big issue is who is to be the judge of this evidence? For every non-traditional assignment (meaning anything that is not the written, signed, notarized document recorded at the registry of deeds) someone has to determine whether the evidence presented is sufficient. Does it have to be a judge? Or will the title insurers come to some type of consensus on what constitutes adequate proof - will an affidavit by an attorney attaching copies of email, printouts, etc, that establish the chain of ownership of the mortgage that all then gets recorded at the registry of deeds be sufficient? Obviously the affidavit is a lot less burdensome than a formal judicial petition. With so much antagonism towards the lending industry, however, I don't think too many people will be worried about what's easiest for them.
Ultimately, I believe the solution must be a legislative one. Back in 2004, the state legislature amended MGL c.183, s.54 regarding mortgage discharges. Back then, many homeowners found it almost impossible to obtain mortgage discharges because of turbulence in the lending industry. In this statutory amendment, the legislature enumerated specific types of documentation that could be used, often in conjunction with an attorney affidavit, in lieu of a traditional discharge. I suspect that might be the best solution to this issue, although it will take a year or more to enact.
Monday, January 10, 2011
A Tweeting Refrigerator?
I am a self confessed, unabashed, gadget loving guy. Hey, what can I say...I am just a good consumer.
An HDTV, a Blu-ray player, streaming Netflix movies, an iPhone 4G, audio activated GPS system in the car...I looovvvve this kind of stuff.
But truthfully, the latest gadget by Samsung may even be a little much for me.
It is a refrigerator that can send tweets...no lie.
But not only does Samsung's new refrigerator send tweets, it also plays Pandora Radio, displays your google calendar, connects to the Internet recipe site "Epicurious", and reads the outside temperature. And it does all this using "wifi".
And I thought having an ice maker in my refrigerator was a big deal...
Check it out...
An HDTV, a Blu-ray player, streaming Netflix movies, an iPhone 4G, audio activated GPS system in the car...I looovvvve this kind of stuff.
But truthfully, the latest gadget by Samsung may even be a little much for me.
It is a refrigerator that can send tweets...no lie.
But not only does Samsung's new refrigerator send tweets, it also plays Pandora Radio, displays your google calendar, connects to the Internet recipe site "Epicurious", and reads the outside temperature. And it does all this using "wifi".
And I thought having an ice maker in my refrigerator was a big deal...
Check it out...
Friday, January 07, 2011
SJC upholds Ibanez
In a closely watched case, the Massachusetts Supreme Judicial Court has upheld a decision by the Land Court that invalidated two foreclosures because of missing assignments of mortgages. The companion cases involved home foreclosures in Springfield conducted by entities that had come into possession of the relevant promissory notes as part of a larger pool of mortgages that were repackaged and sold to investors. In both cases, the companion mortgages were not clearly assigned by the original lenders. When the entities claiming to be the present holders of the mortgage conducted foreclosure sales, there was no record that they were the legal holders of the mortgages. Both cases came to the Land Court via Petitions to Quiet (i.e., "Clear") Title brought by the lenders. Because the industry practice had been to not worry very much about assignments, no one involved expected the outcome to be anything but automatic in favor of the foreclosing lenders.
The trial judge thought otherwise. After trial and a subsequent hearing on a Motion to Vacate, Land Court Judge Keith Long ruled that neither lender had proven ownership of the mortgages that were foreclosed and that their titles were therefore defective. The lenders appealed and the Massachusetts Supreme Judicial Court allowed a Request for Direct Appellate Review. The case was argued before the SJC on October 7, 2010.
Today's decision, authored by Justice Gants, upholds the Land Court decision. The SJC makes clear that a recorded (at the registry of deeds) or even a recordable assignment is not required to effectively pass title. What is required is evidence of some writing or writings that establish a chain of ownership of the mortgage from the loan originator to the entity conduction the foreclosure. The opinion suggests that documents like the trust agreement between investors or the mortgage loan schedule offered by the banks as evidence of the assignment, may have been sufficient had they identified these particular mortgages with "adequate specificity." Such was not the case, however.
What are the implications of Ibanez? For every foreclosure (and for every post-foreclosure sale of a property)going back in time, the first step will be a search for pre-foreclosure assignments. If the assignments were on record and in the proper chronological sequence, then that should end the inquiry. If assignments are missing or if they are out of order, then I think that will qualify for a defect in the title. Whether that defect is curable is a question of fact in each case. Can the entity that conducted the foreclosure produce sufficient evidence to persuade a judge (or at least the next attorney rendering an opinion on the title) that the assignment was effectuated pre-foreclosure sale. If such evidence is not forthcoming, then the defective title remains.
I can't quantify how many foreclosures fall into this category, but given the shoddiness of the overall documents I saw being recorded throughout the recent housing boom, I suspect there are quite a few.
The trial judge thought otherwise. After trial and a subsequent hearing on a Motion to Vacate, Land Court Judge Keith Long ruled that neither lender had proven ownership of the mortgages that were foreclosed and that their titles were therefore defective. The lenders appealed and the Massachusetts Supreme Judicial Court allowed a Request for Direct Appellate Review. The case was argued before the SJC on October 7, 2010.
Today's decision, authored by Justice Gants, upholds the Land Court decision. The SJC makes clear that a recorded (at the registry of deeds) or even a recordable assignment is not required to effectively pass title. What is required is evidence of some writing or writings that establish a chain of ownership of the mortgage from the loan originator to the entity conduction the foreclosure. The opinion suggests that documents like the trust agreement between investors or the mortgage loan schedule offered by the banks as evidence of the assignment, may have been sufficient had they identified these particular mortgages with "adequate specificity." Such was not the case, however.
What are the implications of Ibanez? For every foreclosure (and for every post-foreclosure sale of a property)going back in time, the first step will be a search for pre-foreclosure assignments. If the assignments were on record and in the proper chronological sequence, then that should end the inquiry. If assignments are missing or if they are out of order, then I think that will qualify for a defect in the title. Whether that defect is curable is a question of fact in each case. Can the entity that conducted the foreclosure produce sufficient evidence to persuade a judge (or at least the next attorney rendering an opinion on the title) that the assignment was effectuated pre-foreclosure sale. If such evidence is not forthcoming, then the defective title remains.
I can't quantify how many foreclosures fall into this category, but given the shoddiness of the overall documents I saw being recorded throughout the recent housing boom, I suspect there are quite a few.
Thursday, January 06, 2011
December recording statistics
The other day I posted recording statistics for all of 2010. For the year as a whole, the numbers were discouraging with deeds and mortgages flat and foreclosures up. But I also wrote that the annual numbers are a bit deceptive: Since October, our recording statistics have been quite positive and December continued that trend.
Here are the numbers for December 2010 compared to the same month in 2009:
In December 2010, there were 497 deeds recorded, a 15% increase from the 431 recorded in December 2009;
In December 2010, there were 1623 mortgages recorded, a 53% increase from the 1059 recorded in December 2009;
In December 2010, there were 44 orders of notice recorded, a 56% decrease from the 101 orders of notice recorded in December 2009;
In December 2010, there were 13 foreclosure deeds recorded, a 59% decrease from the 32 recorded in December 2009.
Here are the numbers for December 2010 compared to the same month in 2009:
In December 2010, there were 497 deeds recorded, a 15% increase from the 431 recorded in December 2009;
In December 2010, there were 1623 mortgages recorded, a 53% increase from the 1059 recorded in December 2009;
In December 2010, there were 44 orders of notice recorded, a 56% decrease from the 101 orders of notice recorded in December 2009;
In December 2010, there were 13 foreclosure deeds recorded, a 59% decrease from the 32 recorded in December 2009.
Wednesday, January 05, 2011
Cleaning the Scanner
Every so often our scanners need a bath...The one pictured below getting a good cleaning is a real work horse at the registry of deeds. It is located directly behind a prime recording station. I estimate this machine scanned over 300,000 images last year alone.
Tuesday, January 04, 2011
2010 Recording Statistics
Here are the recording statistics for 2010 compared to 2009:
Deeds: For 2010 there were 5390 deeds vs 5434 for 2009, a 1% decline
Mortgages: For 2010, there were 13,675 mortgages v 14,519 for 2009; a 6% decline
Foreclosure Deeds: For 2010, there were 585 foreclosure deeds v. 400 for 2009, a 46% increase
Orders of Notice: For 2010, there were 1143 orders of notice v 834 for 2009, a 37% increase.
While these figures make 2010 look pretty bleak, it was the beginning of the year that was troublesome. Since October, the numbers have been mostly positive, something I'll write about later this week.
Deeds: For 2010 there were 5390 deeds vs 5434 for 2009, a 1% decline
Mortgages: For 2010, there were 13,675 mortgages v 14,519 for 2009; a 6% decline
Foreclosure Deeds: For 2010, there were 585 foreclosure deeds v. 400 for 2009, a 46% increase
Orders of Notice: For 2010, there were 1143 orders of notice v 834 for 2009, a 37% increase.
While these figures make 2010 look pretty bleak, it was the beginning of the year that was troublesome. Since October, the numbers have been mostly positive, something I'll write about later this week.
Monday, January 03, 2011
My 2011 Techie Predictions
As 2011 begins I thought it would be fitting to make a list of my top ten techie predictions.
1. Priced at $499 the Apple iPad will continue to dominate the market unless other tablet manufactures reduce their prices far below Apple.
2. Google's Chrome will surpass Mozilla's Firefox in the race for browser domination.
3. TV manufactures will finally find a way to search the Program Guide without picking letters using the awkward up/down, left/right arrow keys.
4. Amazon's eReader the Kindle will go bye bye.
5. Barnes and Nobles color eReader the Nook will survive, only if priced well below the iPad.
6. Rupert Murdoch's experiment that will charge people to read his newspapers online will fail drastically.
7. For the first time since its conception, Facebook will begin to lose membership. Burdened by its own largess Facebook will find members turning to small social networking sites that cater to member’s niche interests. Thankfully, the days of reading, "what someone ate for breakfast" may be over.
8. Bluetooth devices will be replaced by WiFi 2 devices that provide a stronger signal.
9. Boredom will get the best of Microsoft founder Bill Gates and he will come out of retirement.
10. The success of Netflix Instant play movies will spawn several copycats and keep consumer prices low.
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